You’ve made the decision to make one of the largest investments you’ll ever make in your life-buying your first home. You’re excited, but at the same time anxious. Some of the questions you may be asking are: Will I be able to afford the home of my dreams? Do I have enough money for a down payment? Can I get a home inspected before I make an offer?

The homebuying process can be overwhelming, but if you go into it prepared, your first purchase can be a good experience. Here are some things to consider before making the plunge.

Getting a mortgage-Fear of being rejected for a home loan is one of the main concerns for first-time homebuyers. To lessen the stress, you may want to get pre-approved for a loan before looking at prospective homes. This will not only help you feel more confident, it will also give you an advantage when there are multiple offers for a specific home. The fact that your loan has already been approved is of great value to the seller: because it shortens the purchase process and there is less of a chance that the buyer will back out of the sale.

Mortgage Payments-The costs involved in the purchase of a home can be overwhelming to first-time buyers. However, with the help of a real estate professional, you can calculate out how much they you be able to pay each month in mortgage payments, and from there, what prospective homes offer a feasible payment plan.

Down-Payment-The down-payment amount varies depending on the value of the home you choose and your mortgage lender. And in some cases, first-time home buyers can purchase a home with no money down. Although it varies from state to state, most offer government-funded programs for first-time buyers that help people buy a home with no down-payment. Your real estate professional will be able to explain the different options available to you.

Closing Costs-First-time buyers often forget to consider the closing costs when making an offer on a home. Paying closing fees of up to 10 percent of the home sale amount is not unusual. Add that to the down-payment and you’ll have quite a sum to raise before the final papers can be signed. However, a smart first-time buyer takes this into account before making an offer, and with some professional help, the costs can be estimated in advance.

Making offers-Don’t feel pressured into making an offer on the first home you see. This is a common mistake of many first-time homebuyers. Make sure you view different homes to get a feel for the marketplace. When you do decide on a home to make a bid on, work with your real estate professional to get all of your questions answered first before making an offer. But don’t wait too long to make an offer. The longer you wait, the greater the chance other prospective buyers may place offers, making it harder for you to negotiate a good deal.

Condition of the Home-Buying a “problem” home is another fear of first-timers. A home that needs major repairs can become a costly venture. And, unless the asking price is adjusted to reflect the hidden repairs needed, chances are the home is not worth as much as the seller is asking for it. To avoid unfortunate surprises, your real estate professional may advise you to hire a home inspector before making a serious offer. That way, you know what you are getting into.

Above all, remember that there are no silly questions. Make sure you understand and are comfortable with every aspect of the transaction. Your real estate professional can be an invaluable asset in helping you make educated decisions so that your first-home purchase is a rewarding experience.

The right price is vital, because overpricing your home can cause you to eliminate potential buyers and lengthen the time that your home stays on the market. But equally important is making sure that you give your home a competitive edge by giving it creative eye appeal.

Many homeowners make the mistake believing they are selling “their home,” but once on the market your home is actually a product.  You need to create an environment the buyer can’t resist. In other words, do everything you can to make the home so attractive, charming, cozy, inviting, comfortable and exciting that a buyer will want to buy that lifestyle for himself.

This can be accomplished by making just a few improvements in your home’s presentation.  Here are some guidelines to make your property distinctive and memorable.

1.  Eliminate clutter. Have you ever noticed how model homes are perfect with no mess, clutter, or mass of personal belongings heaped about?  There should only be a few exquisite and well-placed accessories on tables, desks, chests, etc.  Also, clear kitchen and bathroom counters and furniture of everything except decorative accessories.  Put the personal things–cosmetics, toiletries, clothes, bills, papers, and homework—out of sight.  Tuck wastebaskets under counters or inside cabinets.  Clutter and personal belongings detract from the important features of the home.

2. Create a color theme. If you embark on any investment decorating, like painting, wallpaper, draperies or new furniture purchases, create a color theme that’s consistent.  Wall-to-wall carpeting should be the same throughout the house.  Neutral colors are best to please all tastes.

3. Rearrange the furniture. Just the slightest readjustments can make a big difference. Pull the furniture from against the walls to create a more intimate setting. Move furniture from one room to another. That extra armchair in the living room may create a cozy sitting area in the guest bedroom.

4.  Create custom spaces. Luxury master bathrooms, decorator kitchens, built-in cabinets, computer workstations, exercise rooms, and children’s play areas are the kinds of features that generate sales appeal.  Even if you don’t have these specific custom spaces, you can fashion them or suggest the potential for creating them.  Accessories, mirrors, plants and fluffy new towels can generate a feeling of luxury even in a plain-Jane bathroom.  Turn an extra bedroom into an exercise room if you’ve got the equipment, or a loft space into a child’s play area or hobby center.

5. Keep it clean and pristine. Dust, vacuum, mop and polish on a regular basis.  You’re not selling the furniture, but a high shine on wood furniture and floors can make a room sing.  Touch up nicks on walls and make sure the porcelain sinks and tubs and metallic fixtures shine.  Windows should sparkle.  Keep yards and landscaping neat and attractive.  Add color spots of flowers to perk up entryways and yards.

6. Consult with a professional. There are decorator professionals trained to “stage” a home for sale. They are able to offer an objective view of what buyers are looking for in your competitive market.  Depending upon location, neighborhood, demographics and price range, the special touches that turn on buyers may range from splashy master bathrooms and gourmet kitchens to children’s play areas or home offices.

A part time agent is not going to be there to dedicate their full interest in selling your home.  If you were in need of medical care, would you trust your body to a part-time doctor?  Your home is one of your greatest investments.  Don’t trust it to someone who isn’t working full time to market your home.

When selling your home there are no guarantees that the ultimate buyer of your home will have simply walked through the front door. In many cases you may have to bring your home to the buyer. Effective marketing will help ensure that your property receives maximum exposure to attract a ready, willing and able buyer in the shortest period of time. Ask your Realtor to list for you all of the ways he/she intends to market your home and on what time-line. Also, be sure to ask about the home being advertised on the Internet.

When you’re preparing your house for sale, remember the importance of first impressions. A buyer’s first impression can make or break whether they even want to go inside for a look. It is estimated that more than half of all houses are sold before the buyers even get out of their cars. With that in mind, be sure to stand outside of your home and take a realistic “fresh look” and then ask yourself what can be done to make the “curb appeal” improve. Also ask your Realtor’s opinion as to how to improve the curb appeal. It could make a huge difference in your final sales price.

Be upfront and disclose to your Realtor any problems with the property. The problems are going to be discovered anyway. A decade ago, health and safety issues were rarely a part of the typical real estate transaction. Today, however, it’s common for inspections relating to health, safety, and even environmental concerns to be a part of most sales contracts. Moreover, in many states, the seller must disclosure to the buyer any knowledge of existing property problems. In many cases, these issues have been or can be factored into the home’s listing price.

Remember that although people can be different in personality, they tend to be the same when it comes to expectations at someone else’s expense. In other words, a prospective buyer would probably like to see a perfect home from top to bottom, inside and out, when it comes to your home. Try to do as many of the following items as possible to improve the likelihood of your home sale in an expedient way.

You will be better served if you allow your Realtor to do their job without you there. Most potential buyers usually feel more comfortable if they can speak freely to the real estate professional without the owners being present. If people unaccompanied by an agent request to see your property, you should refer them to your real estate professional for an appointment.

Perhaps the most challenging aspect of selling a home is listing it at the correct price. It’s one of several areas where the assistance of a skilled real estate agent can more than pay for itself. Listing the home too high can be as bad as too low. If the listing price is too high, you’ll miss out on a percentage of buyers looking in the price range where your home should be. This is the flaw in thinking that you’ll always have the opportunity to accept a lower offer. Chances are the offers won’t even come in, because the buyers who would be most interested in your home have been scared off by the price and aren’t even taking the time to look.

By the time the price is corrected, you’ve already lost exposure to a large group of potential buyers. The listing price becomes even trickier to set when prices are quickly rising or falling. It’s critical to be aware of where and how fast the market is moving – both when setting the price and when negotiating an offer. Again, an experienced, well-trained agent is always in touch with market trends – often even to a greater extent than appraisers, who typically focus on what a property is worth if sold as-is, right now.

Fill out the Personal Household Inventory for each room. This is important for establishing the amount of declared valuation for the shipment and as a permanent inventory for insurance purposes. List, as nearly as possible, the year of purchase and original cost of each item. Attach any invoices or records of purchase to the completed inventory.

When working with a real estate agent, it’s critical that you have full confidence in that agent’s experience and education. A skilled, knowledgeable agent should be able to explain to you exactly why your home needs to be priced at a certain level – compared to recent listings and sales of homes similar to yours. Experienced agents also know exactly what the current pool of buyers are looking for in relation to particular styles and price ranges of properties. A skilled agent can recommend changes that will enhance the salability of your home, thus increasing the price – and/or decreasing the length of time before.

This information is copyrighted by the Fannie Mae Foundation and is used with permission of the Fannie Mae Foundation. To obtain a complete copy of the publication, “Knowing and Understanding Your Credit,” visit http://www.homebuyingguide.org.

In a hurry to sell your house? Here are some ways to set a winning pace in the home-sale race.

1. Hire a top-notch sales agent - ”You need a good agent, an agent who knows your neighborhood” says Julie Greenwood, co-owner of Greenwood King Properties, a Houston real estate agency.

2. Price it right - The No. 1 thing that will sell a house quickly is price. “That’s the name of the game,” says Tom Innes, president of Re/Max Commonwealth in Richmond, Va. “If you price it right, it will sell. If you price it wrong, it won’t sell.” OK, so just how do you play the home-sale-version of “The Price is Right”? That crackerjack agent you hired should have a good sense of what price will help sell your home sooner rather than later. As the owner, you are probably not objective, so give your agent free rein, within reason, to set the price. The broker will look at the average days a home in your neighborhood is on the market, how your home compares to others in the area and its condition.

3. Create an adjustable sales plan - Come up with a sales strategy, but make sure it’s flexible. What’s your initial asking price? How long will you insist on it before making a reduction? How much of a cut will you accept? What about after that? Having a plan in place will help you react quickly, according to Greenwood, and will move your home that much more quickly.

4. Clear out the clutter – “Get the clutter out of it,” says Stephen Roulac, author of the forthcoming “360 Housing Mistakes and How to Avoid Them.” It will make your home more inviting to buyers. “After you thought you got out the clutter, take out more. Get it spare, open and fresh.”

5. Offer incentives - Incentives can help shorten the sales cycle, but be careful. Agents are divided on how much they help. ”I think it can be a fine line between wanting to sell a house quickly and having it look like it’s a fire sale,” Greenwood says. If prospective buyers get the idea that you’re desperate to sell, they will try to get you to accept a bargain-basement price.  Roulac, however, believes that adding premiums can help speed a house sale. A popular incentive offered purchasers is closing-cost help. You also can encourage your sales agent: Offer a higher commission for a speedy sale or give your broker show tickets, a meal at a fine restaurant or some other perk if the property moves quickly.

6. They buy houses, don’t they? – What about those “cash for homes” ads you see on matchbook covers, billboards and late-night TV? Agents say houses sold this way are heavily discounted. You will sell your property quickly, but it will go cheap, probably at a price that really won’t make you happy. “If it’s too good of an offer to be true, it is too good of an offer,” says Re/Max’s Innes.

7. Ask for company help – If you’re relocating because of a job change or company transfer, you may be eligible for home-sale help from your employer or a relocation company representing your employer. “Generally speaking, these buyouts are fair,” says Todd Thornton, a real estate instructor, consultant and author of “Home Buying Without the BS.”
“An appraiser would appraise the property and the buyout would be for the suggested fair market value less a sales fee,” he explains. “The company would then put the home on the market with a local real estate professional.” While that’s a great deal for the home sellers, Thornton notes that many companies are scaling back on their relocation packages, so it may not be an option.

8. Rent it – If time runs out and you’ve got to get out of Dodge without selling your home, consider renting it. Just be sure to strike a deal with the renters so your home will be available for showing. For example, if a home such as yours normally rents for $1,000 a month, offer a discount (say $750) in exchange for the renters making the house accessible for showings to potential buyers.  The downside of renting a house that you’re trying to sell is that its condition probably won’t be as pristine as you or buyers would like. One way around this problem, says Innes, is to rent with an option to buy. “Let people move in six months and pay rent and then close,” he says.

1. A real estate transaction is complicated. In most cases, buying or selling a home requires disclosure forms, inspection reports, mortgage documents, insurance policies, deeds, and multi-page government-mandated settlement statements. A knowledgeable guide through this complexity can help you avoid delays or costly mistakes.
2. Selling or buying a home is time consuming. Even in a strong market, homes in our area stay on the market for an average of 150 days. And it usually takes another 45 days or so for the transaction to close after an offer is accepted.
3. Real estate has its own language. If you don’t know a CMA from a PUD, you can understand why it’s important to work with someone who speaks that language.
4. REALTORS® have done it before. Most people buy and sell only a few homes in a lifetime, usually with quite a few years in between each purchase. And even if you’ve done it before, laws and regulations change. That’s why having an expert on your side is critical.
5. REALTORS® provide objectivity. Since a home often symbolizes family, rest, and security, not just four walls and roof, homeselling or buying is often a very emotional undertaking. And for most people, a home is the biggest purchase they’ll ever make. Having a concerned, but objective, third party helps you keep focused on both the business and emotional issues most important to you.

1. Your payment history. Whether you paid credit card obligations on time.
2. How much you owe. Owing a great deal of money on numerous accounts can indicate that you are overextended.
3. The length of your credit history. In general, the longer the better.
4. How much new credit you have. New credit, either installment payments or new credit cards, are considered more risky, even if you pay promptly.
5. The types of credit you use. Generally, it’s desirable to have more than one type of credit—installment loans, credit cards, and a mortgage, for example.

For more on evaluating and understanding your credit score, go to http://www.myfico.com.

1. MAKE THE MOST OF THAT FIRST IMPRESSION - A well-manicured lawn and shrubs, and a clutter free porch welcome prospects. So does a freshly painted or a freshly scrubbed front door. If it’s autumn, rake the leaves. If it’s winter, make sure there’s no ice on the sidewalk or steps. The fewer obstacles between prospects and the true appeal of your home, the better.
2. INVEST IN A FEW HOURS FOR FUTURE DIVIDENDS- Here’s your chance to clean up in real estate. Clean up in the bedroom, the bathroom and the kitchen. If your woodwork is scuffed or the paint is fading, consider some minor redecoration. Fresh wallpaper adds charm and value to your property. Prospects would rather see how great your home looks than hear how great it could look with a little work.
3. CHECK FAUCETS AND BULBS - Dripping water rattles the nerves, discolors sinks and suggests faulty or worn-out plumbing. Burned-out bulbs leave prospects in the dark. Don’t let little problems detract from what is right about your home.
4. DON’T SHUT OUT A   SALE - If cabinets or closet doors stick in your home, you can be sure they will also stick in the prospect’s mind. Don’t try to explain sticky situations when you can easily plane them away. A little effort can smooth the way towards a closing.
5. THINK SAFETY - Homeowners learn to live with all kinds of self-set booby-traps: roller skates on the stairs, festooned extension cords, slipperythrow rugs and low-hanging overhead lights. Make your residence as non-perilous as possible for visitors.
6. MAKE ROOM FOR SPACE - Remember potential buyers are looking for more than just comfortable living space. They are looking for storage space too. Make sure your attic and basement are clean and free of unnecessary items.
7. CONSIDER YOUR CLOSETS - The better organized a closet, the larger it appears. Now’s the time to box those unwanted clothes and donate them to charity.
8. MAKE YOUR BATHROOMS SPARKLE - Bathrooms sell homes so let them shine. Check and repair damaged or unsightly caulking in the tubs and showers. For added allure, use your best towels, mats and shower curtains.
9. CREATE DREAM BEDROOMS - Wake up prospects to the cozy comforts of your bedroom. For a spacious look, get rid of excess furniture. Colorful bedspreads and fresh curtains are a must.
10. OPEN UP IN THE DAYTIME - Let the sun in. Pull back your curtains and a drape so prospects can see how bright and cheery your home really is. Be sure your windows are sparkling clean too.
11. LIGHTEN UP AT NIGHT- Turn on the excitement. Turn on all your lights, both inside and out, when showing your home in the evening. Lights add color, warmth, and make prospects feel welcome.
12. AVOID CROWD SCENES - Potential buyers often feel like intruders when they enter a home filled with people. Rather than giving your house the attention it deserves, they are likely to hurry through. Keep the company present to a minimum.
13. WATCH YOUR PETS - Dogs and cats are great companions, but they are not when you’re showing your home. Pets have a talent for getting in the way. Do everybody a favor: keep your dog or cat outside if you can, or at least out of the way. Also, be sure your home does not have any pet odor that could make the buyer feel uncomfortable.
14. THINK VOLUME - Rock ‘n roll will never die, but it might kill a real estate transaction. When it’s time to show your home, it’s time to lower the volume on the stereo or TV.
15. RELAX - Be friendly, and don’t try to force conversation. Prospects want to view your home with a minimum of distractions or interruptions.
16. DON’T APOLOGIZE - No matter how humble your abode, never apologize for its shortcomings. If a prospect volunteers a derogatory remark about your home, let Michelle handle the situation.
17. KEEP A LOW PROFILE - Nobody knows your home as well as you do, but Michelle knows the buyers. She will know what they need or what they want. Michelle will have an easier time articulating the virtues of your home if you stay in the background.
18. DON’T TURN YOUR HOME INTO A SECOND-HAND STORE - When a prospect comes to view your horne, don’t distract them with offers to sell your furnishings. You may lose the biggest sale of all; that is, your home.
19. DEFER TO EXPERIENCE - When prospects want to talk about price, terms and conditions, or other real estate matters, let them speak to the expert, Michelle Fradella. That’s when a good agent earns his or her pay by putting highly effective negotiating and training techniques to use.
20. HELP MICHELLE - Michelle will have an easier time selling your home if showings are scheduled through the agent’s office. You’ll also appreciate the results. If a prospect contacts you directly, get their name and number and give it to Michelle.